CORPORATE GOVERNANCE & INFOSYS
“There are those who will tell you that business and ethics cannot stand together. In the short run it might appear that companies pay a price for adhering to values while their competitors get ahead in a short time frame, but in long run people would to distinguish between the grain and chaff. Those that don’t subscribe to values will fall by the way side; those that subscribe to values will last the course and will set benchmarks”
- M. Damodaran
Former Chairman, SEBI
- M. Damodaran
Former Chairman, SEBI
Corporate governance and Infoysis have some common. It is the Infosys mentor Mr. N. R Narayana Murty who was the chairman of a Committee on Corporate Governance constituted by SEBI.
Every listed company on any recognized stock exchange is required to have listing agreement with stock exchange. SEBI is implementing corporate governance through the listing agreement as given in Clause 49.
Infosys’s corporate governance policy is based on the following principles:
Satisfy the sprit of law and not just the letter of law. Corporate governance standard should go beyond the law.
Be transparent and maintain a high degree of disclosure levels. When in doubts, disclose.
Make clear distinction between personal convenience and corporate resources.
Communicate externally, in a truthful manner, about how the company is running internally.
Comply with the laws in all the countries in which the company operates.
Have a simple and transparent corporate structure driven solely by business needs.
Management is trustee of the shareholder’s capital and not the owner.
HALF YEARLY INTERNAL AUDIT MANDATORY
Half yearly internal audit has been made compulsory for stock brokers by SEBI. SEBI a premier body which regulates the securities related issues. The internal audit should be done only by an independent qualified Chartered Accountant, company secretaries, or cost and management accountants who do not have any conflict of intrest. For more log on to SEBI Website